Bitcoin, ether, major altcoins. Weekly market update January 2, 2023

Bitcoin, ether, major altcoins. Weekly market update January 2, 2023

The cryptocurrency market erased $5 billion from its market cap during the last seven days and now stands at $806 billion. The top 10 coins were mostly in red for the same period with OKB (OKB) being the only one to register some gains with a 30% increase. Bitcoin (BTC) is currently trading at $16,746 while ether (ETH) is at 1,218.


Bitcoin closed the trading day on Sunday, Dec. 25, at $16,840 after a low volatility week, during which the biggest cryptocurrency remained caught in the extremely narrow price range between $16,500 and $16,900.

The lack of significant trading volume resulted in a less than a percent of increase on a weekly basis during the Dec. 19-25 trading.

On Monday, Dec. 26, the BTC/USDT pair opened the new seven-day period with an unexpected attempt to break above the $17,000 mark and the 21-day EMA dynamic resistance.

However, the lower timeframe setup did not support such a move. On Tuesday, Dec. 27, the coin was pushed back 1.3% down to $16,700.

The mid-week session on Wednesday, Dec. 28, came with a second consecutive day in red and a further drop to $16,553.

On Thursday, Dec. 29, bitcoin climbed up to $16,630 compensating for some of the losses in the last 2 trading days.

The last workday of the week, Dec. 30, was marked by a sudden early drop to $16,340. Bulls, however, were quick to react and the price recovered later in the evening to $16,612.

The weekend of Dec. 31-Jan. 1 started with another slow red session on Saturday. BTC ended the last month of the year with a 3.5% loss, making it a total 64% decline on a yearly basis.

Overall, the risk assets are going through turbulent times. Both the stock and crypto markets are registering major losses on a yearly basis with no bottom in sight given the still fragile fundamental data. Usually, it is better for investors to keep a balanced portfolio at least until the interest rates are stabilized. It should additionally include commodities, safe haven assets, and cash.

The BTC/USDT pair rallied on Sunday, Jan.1, and early Monday, Jan.2, to reach the 21-day EMA of around $16,720.

Bitcoin, ether, major altcoins. Weekly market update January 2, 2023 - 1
Source: TradingView


Ethereum (ETH) added 3% to its valuation during the week of Dec. 19-25 after closing trading on Sunday, Dec. 25, at $1,218. Just like bitcoin, the leading altcoin has been trading in a narrow range ($1,180-$1,230) since Dec. 20.

On Monday, Dec. 26, the ether jumped up to hit the 21-day EMA at $1,230. Still, the bullish momentum was not quite there to support a breakout attempt due to the low volumes during the holiday season.

The ETH/USDT pair erased all gains from the previous session on Tuesday. The coin dropped 1.3% and closed the day at $1,211.

The third day of the workweek came with a continuation of the local downtrend. This time the coin hit $1,189.

On Thursday, Dec. 29, the ether briefly climbed above $1,200 but was still unable to establish even a short-term trend.

The coin remained flat on Friday, Dec. 30, even though we saw an early drop to $1,182.

The first day of the weekend and the last of the year were not particularly interesting for traders either. ETH remained close to the $1,200 mark and ended 2022 with a 67% loss.

On Sunday, Jan. 1, and Monday, Jan. 2, buyers pushed the price up to the 21-day EMA at $1,220.

It is also worth noting that on the weekly timeframe, the most popular altcoin continues to trade in a Bear Pennant formation – a downtrend continuation pattern. At this stage, a clean weekly candle close below $1,150 will serve as a confirmation. On the other hand, a break in the opposite direction (meaning a weekly close above $1,300-$1,320) will fully invalidate the setup.

The trading volumes remain low while the Relative Strength Index (RSI) has stabilized in its mid-area.

Bitcoin, ether, major altcoins. Weekly market update January 2, 2023 - 2
Source: TradingView

Leading Majors

  • OKB

OKB is the best-performing digital asset in the last seven days (including Monday, Jan. 2). OKB is the utility token of the OKEx exchange and the OK Blockchain Foundation. It allows holders to benefit from the exchange’s special features, grant access to voting and governance on the platform, pay fees and receive different types of awards for holding it.

The OKB/USDT pair rallied 18% last week and is an additional 11% up early on Monday. It is now stable above the 21-period EMA.

The coin is now flirting with the $32 high that was last visited in December 2021. Additionally, it successfully surpassed Polygon’s MATIC to become the 10th largest cryptocurrency with a $7.6 billion market cap.

Support in the $21-$22 zone.

Bitcoin, ether, major altcoins. Weekly market update January 2, 2023 - 3
Source: TradingView

Altcoin of the week

Our altcoin of the week is Lido DAO (LDO). LDO is the liquid staking governance token of the Lido platform – the most popular liquid staking protocol for ethereum and some of the other major altcoins.

Lido enables end users to benefit from staking APRs while staying liquid. For every token staked an “s” token is issued in a 1:1 ratio. stETH, for example, represents the locked ether in Lido, combining the value of the initial deposit + staking rewards.

During the last seven days, the LDO/USDT pair added 13%to its valuation. At the time of writing, it is already trading 6% higher than yesterday’s candle closure price.

Bulls will be looking to confirm the break above the $1.10-$1.15 resistance and consolidate above that area turning it into support before moving higher. Bears on the other hand will be hoping for a fake breakout and a weekly closure below $1.10.

LDO is currently ranked at #41 on CoinGecko with a total market cap of approximately $947 million.

Bitcoin, ether, major altcoins. Weekly market update January 2, 2023 - 4
Source: TradingView
Follow Us on Google News